My name is Kanv and I am sharing application details for Euler as a part of the Unichain Growth CFM 1.
Euler is a DeFi super-app for lending, borrowing, and trading. Liquidity providers, borrowers, and swappers receive market-leading rates. Builders can create highly customizable vaults with institutional-grade security.
Euler offers:
- Permissionless and modular infrastructure enabling lending, borrowing, and DEX markets tailored to any configuration: pooled, isolated, and anything in between.
- Security first approach: Backed by over 50 independent audits, a $7.5m Cantina bug bounty, and CTF competitions.
- Curated strategies for optimal returns: Supported by risk managers like Gauntlet and expert curators including Re7 Labs, and K3 Capital, who continuously refine vault parameters and interest rates.
- User-centric design: Featuring batched transactions with deferred health checks, dynamic liquidation incentives delivering industry-leading on-chain efficiency, and an upcoming passive lending protocol.
Euler on Unichain
Euler is the biggest lending/borrowing protocol on Unichain. The flagship USDC market holds ≈$60 million in deposits, clearing a 7% supply rate at 90% utilisation, while sUSDC adds a further $42 million. Ethereum-correlated collateral accounts for just under $48 million of supply, with the primary WETH vault operating near 80% utilisation driven by sustained leverage demand. All Euler Unichain cluster vaults are governed by Euler DAO and Gauntlet-calibrated risk parameters and supported by strong oracle feeds, giving Unichain users balanced options of high-yield stable pools and blue-chip collateral options, underpinned by the same security and framework that drives Euler’s growth on other networks.
Why select Euler?
- Euler DAO incentivised Unichain growth with rEUL worth >$300k already. Euler DAO has confirmed plans of continuing to incentivise the markets.
- Euler is already the #1 lending/borrowing protocol on Unichain.
- To accelerate this, we are bringing our Frontier Markets program to Unichain to bring fresh TVL.
- Euler is the only protocol available on Unichain that scales lending and DEX liquidity together.
- EulerSwap, our new DEX, is closing in on ~$1b in volume in just under a month while still being in beta. It is now ranked 5th amongst DEXs on DefiLlama, ahead of being fully commercially launched.
- EulerSwap funnels liquidity back into Euler.
- LP onboarding starts mid-July.
Source - Dune Dashboard
Euler TVL
(Top 5 chains)
| Network | 30‑Day Avg TVL* |
|---|---|
| Ethereum | $1.43 B |
| Avalanche | $270.33 M |
| Unichain | $194.73M |
| Sonic | $72.13 M |
| BSC | $45.37 M |
How has Euler grown?
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Targeted market launches: Top stables, & high‑demand LST/LSD pairs with looping strategies. Curated markets like Euler Prime and Yield that cater to different risk profiles.
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Outcome‑driven incentives. Euler provides short, targeted reward cycles. These incentives are distributed via Merkl, with the reward amounts dynamically adjusted to prioritize vaults that produce the highest incremental increase in TVL per dollar spent.
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Institutional outreach – A dedicated growth team maintains relationships with >30 treasuries, market-makers and funds, coordinating large deposits and access to best looping strategies.
Euler integrations in the DeFi ecosystem
Euler’s integration layer now spans execution front-ends, yield optimizers, and liquidity routers that collectively widen the protocol’s surface area without fragmenting risk. Power-users gain one-click leverage management via DeFi Saver, while portfolio rebalancing and auto-compound functionality are handled by yield vaults such as Beefy, Summer.fi, Veda, and Concrete.
Advanced looping strategies are routed through Contango and Vaults.fyi, enabling delta-neutral or basis-trade positions that settle directly into Euler vaults. On the liquidity side, Bunni plugs Euler collateral into concentrated-liquidity pools, creating a positive feedback loop between swap fees and money-market depth.
EtherFi provide custody-friendly interfaces making Euler deposits accessible to treasuries and market-making desks subject to operational controls. Each integration is permissionless yet aligned with Euler’s curator-defined risk parameters, ensuring that additional user flows translate into genuine TVL and utilisation rather than unmanaged tail risk.
Source - Oak Research
Past results:
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Unichain – In just 5 weeks on Unichain, Euler reached $220M in deposits
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Avalanche – $100M in deposits within 3 days of launching
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Sonic – Crossed $100M TVL in 3 weeks
Receiving Funds
If Euler receives the grant, we estimate that we can reach a 30 day trailing average TVL of ≈ $230 M by August 10.
Baseline ≈ $184M today. We forecast an incremental $35-45 M of deposits within the evaluation window, and rest from organic capital yielding a 30‑day trailing average of ~$230 M.
*Forecasts use borrow-included TVL
We expect our utilisation ratio to be around 60 % protocol‑wide with stablecoin and ETH-correlated vaults running materially higher especially for vaults with EulerSwap installed(currently averaging around 90% on Ethereum mainnet).
How will Euler use the grant?
- Euler DAO commits to utilising 100% of the received funds to incentive the TVL growth.
- We target 50-100x of TVL growth on spend and most markets lie at the higher end of the range. Euler has a sector leading incentives efficiency even at a billion dollar scale. This is due to its modularity to create any kind of market. Source: Defillama
- Incentive parameters will be fine-tuned occasionally based on real-time utilization and TVL data.
Counterfactual – Not Receiving Funds
Without the grant funding, we estimate following an organic growth trajectory, achieving a 30-day trailing average TVL of $188m by August 10.
Euler views Unichain as a strategic, multi-year home rather than a temporary expansion. The Euler DAO expects Unichain TVL, utilisation, and product breadth to scale steadily well beyond the CFM evaluation window. We have already integrated into the Uniswap v4 hook ecosystem with projects such as Bunni. Each swap brings TVL into Euler money-markets and deepens liquidity for both lenders and borrowers. Making Euler a sustained success on Unichain is central to our long-term commitment to the ecosystem.
Euler is already engaged with several consumer-facing fintech apps, custodial wallets, and on-ramp providers that wish to embed “deposit-to-earn” functionality via Euler vaults. Euler is coordinating with large liquidity providers and market-making desks that seek to lever liquid-restaking tokens (LRTs) against blue-chip stables. The forthcoming EulerSwap release makes this strategy frictionless: users can supply an LRT, borrow a stablecoin, swap it back to the same LRT in-house, and repeat. Risk modelled collateral factors to keep utilisation high without compromising systemic safety, while Merkl-based incentives will be directed to the LRT and stablecoin supply sides during incentives launch. The result is a self-reinforcing fly-wheel in which looping demand deepens both borrowing and lending liquidity, increasing fee generation for depositors and further anchoring Euler as the preferred leverage venue on Unichain.
Our initiatives should sustain steady growth and help with coordination of LPs, but without the grant we forfeit the effect of targeted incentives and the valuable signaling to large liquidity providers.
Thank you for considering Euler.
We welcome any questions from forecasters and the Uniswap Foundation.